Anz Group Holdings Limited · ASX:ANZ
Anz — Australia and New Zealand Banking Group — Investor Presentation (March 2006)
144 slides from Anz's investor presentation, Mar 10, 2006
Slide 1: Asian Strategy Overview
www.anz.com Asian Strategy Overview _ Australia and New Zealand Banking Group Limited 5 March 2006 ob Edgar Senior Managing Director
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Slide 23: Asian Strategy Overview (searchable text)
Link to searchable text of slide shown above Searchable text section of graphics shown above [ GRAPHIC] Asian Strategy Overview Australia and New Zealand Banking Group Limited 5 March 2006 Dr Bob Edgar Senior Managing Director www.anz.com [LOGO] AN Z is Australia’s leading bank in Asia, operating in
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Slide 33: Panin's growth is driven by investment in products and distribution
Panin’s growth is driven by investment in products and distribution, and leveraging ANZ’s capabilities Building a retail banking business in Indonesia PERG tesa, National all Centre 2001 2002 2003 2004 2005 IM systems/Ops Distribution Ml. Product Launch * PaninBank
Slide 34: Summary
Summary « Panin Bank’s underlying profit growth is strong ¢ The partnership continues to add value to ANZ with market value well in excess of book * 2006 performance adversely impacted by increased interest rate environment * Success of Panin partnership underlies ANZ model > transformation of busin
Slide 35: Additional Information
Additional Information * PaninBank
Slide 36: Panin has established itself as a leading player in motor vehicle finance
Panin has established itself as a leading player in the motor vehicle finance business IDR TA # 25 25,000 20 20,000 15 15,000 1.0 10,000 0.5 5,000 0.0 0 2001 2002 2003 2004 2005 ‘mm Loans (LHS) -8- Customers }© 41% increase in car loan outstandings in 2005. /* Car sales slowed after reduction of fue
Slide 37: Good momentum in home loans, despite increased competition
Good momentum in home loans, despite increased competition IDR Th # 25 15,000 20 12,000 15 9,000 1.0 6,000 0.5 3,000 0.0 ° 2002 2003 2004 2005 ms Loans (LHS) -#-Customers + 57% growth in outstandings in 2005, excellent result in view of downturn following interest rate rises in Sept-05 * Market grow
Slide 38: SMART SME growing strongly following increased focus
SMART SME growing strongly following increased focus - key medium term growth engine IDR TA # + Until 2005 had received little attention. 3.0 12,000 | | + Jan 2005 - dedicated SME lending 35 a director appointed. Total balances 9,000 have grown 122% since specialist 20 model introduced 1s 6,000 + Pa
Slide 39: Panin Bank and the Indonesian Reksa/bond market
Panin Bank and the Indonesian Reksa/bond market « The “Reksa Product” is a mutual fund type investment typically invested in domestic government bonds. Customers were attracted to the investment because of its higher yield. IDRT 120 100 Indonesian Hs mutual funds: net asset value Dec 99 Dec 01 May 0
Slide 40: ANZ's equity accounted profit is impacted by a number of variables
ANZ’s equity accounted profit is impacted by a number of variables Solid underlying NPAT growth Bmisiink reported by) ANZias: (ANZ equity accounted profits A$m) equity:accounted proftt impacted by: * ANZ records share of income from Panin ona 3 month lagged basis due to market sensitivity. * Exchang
Slide 41: Strong balance sheet growth, good growth in consumer lending
Strong balance sheet growth, good growth in consumer lending Assets 35.7tn 35.7tn *Collapse of mutual fund market in 0S saw bonds returned to 22.9tn a +108 money Equity > market deposits ag required to ota fund bonds. Hie. *NIM squeezed as BI increased Fates 5.3% in 6 Cash/BI Bond/Sec Corp PETS week
Slide 42: Indonesia's banking sector has recovered strongly
Indonesia’s banking sector has recovered strongly = Strong capitalisation, liquidity, asset quality, all likely to Loan Growth 2005E improve further as economy strengthens 21% 0% ‘= Under-penetrated banking sector: = Loans/GDP at 25% amongst lowest globally ~ * Consumer Loans'GDP at ~108% amongst As
Slide 43: Bank Indonesia blue-print signals further wave of consolidation
Bank Indonesia blue-print signals further wave of consolidation ‘+ Min. capital >IDR50TA ‘+ Capacity to operate in international scale PaninBank My + Capital requirement: IDR10-50Tn + Offers wide range of business and nationwide coverage Capital requirement: IDR100Bn-10Tn Focus on particular busines
Slide 44: www.anz.com
www.anz.com
Slide 45: Information Flow
Information Flow 1, ANZ Panin Today | __» |1.1. The Synergy |» |1.2. Customer Perception 1» |1.3, Our Growth, 2. About ANZ Panin P| 2.1. History L_»|2.2, Recognition 3. Product & Service \3.1. Corporate Banking; 3.2. Treasury & Market |3.3. Trade Finance; 3.4, Retail Personal Banking (3.5. Cards 4.
Slide 46: Look & Feel
Look & Feel Opening Look ANZ Panin Bank Today About ANZ Panin a ae ads Product & Service ANZ Credit Cards >
Slide 47: Content Details
Content Details
Slide 48: 1. ANZ Panin Today - 1.1. The Synergy
1. ANZ Panin Today - 1.1. The Synergy * ANZ Panin Bank *# One of the largest JV Bank in Indonesia in term of customers and profitability ratios. + 157 full time staff, 350 foreign owned company accounts, 320 Indonesian company accounts, nearly 300,000 individual customers. + As of 30 Sept 05, total
Slide 49: 1. ANZ Panin Today - 1.1. The Synergy (Cont.)
1. ANZ Panin Today — 1.1. The Synergy (Cont.) * Perfect synergy combining ANZ as one of the largest bank in Australia with global network in Europe, America, Asia/Pacific, and Panin Bank with strong local knowledge. ANZ
Slide 50: 1. ANZ Panin Today - 1.2. Customer Perception
1. ANZ Panin Today - 1.2. Customer Perception * Bank with “Human Face” + Offer products by focusing on modern lifestyle. * Innovative and trendy look of collaterals, promotion media. * Customer opinion about ANZ Panin. To support the idea of dynamic and contemporary look with young feel (based on AC
Slide 51: 1. ANZ Panin Today - 1.3. Our Growth
1. ANZ Panin Today - 1.3. Our Growth * Our Focus * Building a premium credit card business. * Supporting multinationals network in Indonesia. * Identify Indonesian opportunities for ANZ product specialists and provide ongoing support in deal structuring. * Deepen industry focus in natural resources
Slide 52: 1. ANZ Panin Today - 1.3. Our Growth (Cont.)
1. ANZ Panin Today — 1.3. Our Growth (Cont.) * With strong focus, ANZ Panin has shown excellent performance. * CAGR: 20.6% + ROE: 17.8% * Cost to Income ratio: 42.8% * Strong CAR: 21.4% for further expansion « Increasing number of customers, loan and NPAT. Loan NPAT No. of Customers Note: Graphs (Lo
Slide 53: 2. About ANZ Panin - 2.1. History
2. About ANZ Panin - 2.1. History + 1973, ANZ Grindlays Bank established a representative office in Jakarta. * 1993, ANZ purchased Westpac stake in the joint venture Bank with Panin Bank and established PT ANZ Panin Bank. * 1999, to expand its retail sector, ANZ Panin Bank acquired cards portfolio o
Slide 54: 2. About ANZ Panin - 2.2. Recognition
2. About ANZ Panin —- 2.2. Recognition * Business Week Magazine (August 2005): Indonesia's most admired company. * Infobank Magazine (June 2005): Bank with the most focused activities in a specific business sector. * Infobank Magazine (June 2005): Voted top 10 bank in Indonesia. * SWA Magazine (May
Slide 55: 3. Product & Service
3. Product & Service ‘Trade Finance Provide products suchas: ‘+ Bank guarantee (e9. custom bond, bid bond, performance bond) ‘+ Import (e9. Opening LC, Local LG Import Tex Payment, Shipping Guarantee), ‘+ Export (eg, Advising and negotiation Letter of Cred, Discounted its). + Cofecton (e9. Cean/cheq
Slide 56: 4. ANZ Panin Credit Cards - 4.1. Focus
Slide 57: 4. ANZ Credit Cards - 4.2. Customer Experience
4. ANZ Credit Cards - 4.2. Customer Experience ‘* Dynamic and contemporary look. * Unique card design that represent style, character and personality of the Cardholders (Picture Card). * Cardholders can choose from 9 pre-selected pictures. * or they can submit their own pictures. Anz Anz # r 4 VISA
Slide 58: 4. ANZ Credit Cards - 4.2. Customer Experience
Slide 59: 4. ANZ Credit Cards - 4.3. Strategic Partnership
4, ANZ Credit Cards — 4.3. Strategic Partnership * Building brand association with 28 international boutiques providing interest free installment and other privileges. Cartier adn VERTU VERSACE - BALLY GFFERRE COCCINELLE —FeANcEScomtasia —-Rog5CO charles david Ermenegildo Zegna 16
Slide 60: 4. ANZ Credit Cards - 4.3. Strategic Partnership
4. ANZ Credit Cards - 4.3. Strategic Partnership * Through ANZ Spot ~ I Love This Spot, building brand association with more than 200 restaurant/café partners providing year-long benefits in form of discounts and complimentary. Partners located throughout Indonesia, such as Jakarta, Bali, Surabaya.
Slide 61: ANZ holds equity stakes in PT Panin Bank and ANZ Panin
Searchable text section of graphics shown above [GRAPHIC] [LOGO] John Winders Executive Vice President & Director PT Panin Bank Jakarta 6 March 2006 [LOGO] [LOGO] [LOGO] AN Z holds equity stakes in PT Panin Bank and ANZ Panin Ownership Structure Public Gunawan Family Interests ANZ Bank 29% 42% 29% P
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Slide 71: Philippines trade profile
Philippines trade profile Exports (% share, January to October 2005) Top 5 Products mothers ‘= Coconut Oil, Garments Consignments mElectronics Wiring Sets, Imports (% share, January to October 2005) Top 5 Products 14% otters 4% on Steet “Transport Equpment Miner Fuels amindust. Machinery & Equp. Ele
Slide 72: Metrobank Card Corporation
www.anz.com etrobank Card Corporation Australia and New Zealand Banking Group Limited 7 March 2006 Anne Young President, Metrobank Card Corporation i
Slide 73: Metrobank is the Philippines largest bank
Metrobank is the Philippines largest bank * Metrobank was founded in 1962 * Philippines largest bank by loans and deposits * ~ 1,300 points of representation * Business mix weighted towards Consumer & SME Strong market position in both Lending & Deposits 15.8% 14.5% Loans Deposits Top five Philippin
Slide 74: ANZ and Metrobank formed a Cards partnership in 2003
ANZ and Metrobank formed a Cards partnership in 2003 Se «Bs 60% 40% | ANZ Investment AS13.8m Ge robank Card Corporation ANZ has management influence through; * Proportional board representation * Right to appoint president and key senior management positions * Board veto rights
Slide 75: Partnership model leverages Metrobank and ANZ's strengths
Partnership model leverages Metrobank and ANZ’s strengths & METROBANK we * Proven success in cards business * Large customer base * Management * Significant A expertise distribution capability @ Metrobank ovens ence * Strong brand Mat Corporation Tena & * Local knowledge and marcedng) relationships
Slide 76: Since 2003 MCC has been built into one of the fastest growing card companies
Since 2003 MCC has been built into one of the fastest growing card companies in the Philippines 2003 Credit Card Market Share 2005 Credit Card Market Share 11.6% 146% 13.1% 11.1% 10.5% ee a citi BPI HSBC MCC ECN* AIG Credit quality remains amongst industry leaders, and continues to improve (9% delin
Slide 77: Building a strong brand
Building a strong brand Powerful Metrobank image of trust Leverage ANZ international capabilities Increased investment in advertising Innovative and attractive products Investment in front line staff
Slide 78: Customer acquisition
Customer acqu Improving branch sales effectiveness Investment in customer analytics, tailoring products to customer segments Significant investment in credit risk management Introduction of direct sales agents Good service - “making it easy to get a card” Flexible, low cost technology Strong growth
Slide 79: 3. Deepen relationship with existing customers
3. Deepen relationship with existing customers * Enhanced customer profitability data © Pricing for risk * Focus on upgrading products and cross sell « Increased training for front line staff * Telemarketing capabilities developed Strong growth in outstandings l 47% CAGR 6,657 PHP m 4,317 3,077 | 20
Slide 80: 4. Retain profitable customers
4. Retain profitable customers * Reactive and proactive retention strategies tailored to customer segments * ANZ retention strategies proven successful for MCC * Improved credit and fraud risk management capabilities « Fraud losses reduced from 0.17% in 2004 as % of billings to 0.04% in 2005 Revolve
Slide 81: 5. Extend in to new customer & product segments
5. Extend in to new customer & product segments * Increased geographic representation * Continuous product development - recurring bills, instalment loans * 1G Summit White label card (featured) launched 22°49 February 2006 * Extending cross sell to additional company’s customers i.e. AXA
Slide 82: Financial performance has exceeded expectations
Financial performance has exceeded expectations Exceptional revenue growth... Despite increased investment strong NPAT growth momentum maintained 34% CAGR + 1,572 PHP m 472 1,008 818 i | I i “en 301 2003 2004 2005 4 261 .»allowing increased investment in the business (expenses) 709 HP m } 429 B 2003
Slide 83: Significant opportunities to continue growth agenda
Significant opportunities to continue growth agenda Strengthen Metrobank Grow Metrobank Deliver on Partnership Card Corporation technology agenda * Launching Debit * Launch Business « Install Application card Card Processing System « Implementing * Launch Go White « Install Installment Metrobank Cal
Slide 84: Summary
Summary « Metrobank, the Philippines largest bank, has proven perfect fit for ANZ’s partnership agenda Philippines economy and banking market continue to develop and offer significant opportunity * ANZ’s proven Credit Cards success has driven strong growth in the MCC partnership * Performance has si
Slide 85: ANZ Network - Philippines
Searchable text section of graphics shown above [GRAPHIC] ANZ Network - Philippines Australia and New Zealand Banking Group Limited 7 March 2006 Johnny Co General Manager, ANZ Philippines www.anz.com [LOGO] AN Z is Australia’s leading bank in the Philippines • Representative office established in 19
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Slide 95: China macro facts
China macro facts * China foreign & local currency ratings were raised by one level to A- by Standard & Poor’s and A2 by Moody's. + 2005 GDP grew 9.9% - overtaking the U.K as the world’s 4" largest. + GDP rose to RMB 18.2 trillion (US$2.26 trillion) after expanding 10.1% in 2004. ‘+ GDP data was rev
Slide 96: World growth forecasts
World growth forecasts % Change in real GDP 2004 2005 2006f 2007f United States 4.2 3.6 3.2 2.9 Japan 2.6 23 2.0 1.9 Euro 17 1.2 1.3 1.8 Australia a3 25 3.4 3.6 Korea 4.6 3.7 3.5 3.0 Indonesia 5.1 5.4 5.6 5.5 Thailand 6.1 3.6 3.8 41 Hong Kong 8.2 6.2 3.3 33 Malaysia 7A 4.6 41 3.8 Singapore 8.4 47 45
Slide 97: Global Energy and Commodity Market
Global Energy and Commodity Market * 2005 oil imports increased 3.3%. Growth was reduced from 35% in 2004 due to soaring global prices. + China was responsible for 50% of global energy growth from 2001-2004. ‘+ State Grid Corp of China plans to spend US$99.2 billon in the next 5 years to upgrade its
Slide 98: RMB Lending & Deposit Rates
RMB Lending & Deposit Rates Lending Rates Product Rate Rate Personal Loans Current Account 0.72% within 6 mths 5.22% Term Deposits 6 mths to 1 year 5.58% within 3 mths 1.71% 103 yes 5.76% 6 months 2.07% 310 5yts 5.85% 12 months 2.25% over 5 is 6.12% 24 months 2.70% ‘Commercial Loans [36 months 3.24%
Slide 99: A licensed capability
a licensed capability Forex Derivatives RMB lending and deposit-taking for foreign individuals, foreign invested enterprises (FIEs) and Chinese companies including SOEs registered in Beijing, Shanghai, Jiangsu, Zhejiang, Tianjin, Dalian, Shenzhen, Qingdao, Zhuhai, Wuhan, Guangzhou, Chengdu, Chongchi
Slide 100: ANZ Trade Finance products & commodity focus
ANZ Trade Finance products & commodity focus Products Letter of Credit issuance (usually 100% cash covered) * Letter of Credit advising * Letter of Credit confirmations * Oil Payment Guarantees © Forfeiting * Selected Back to Back / Front to Back Structures * Selected Freight loans * Selected direct
Slide 101: ANZ Network - China
Searchable text section of graphics shown above [G RAPHIC] ANZ Network - China Australia and New Zealand Banking Group Limited 8 March 2006 Jock McGregor Head of ANZ China www.anz.com [LOGO] AN Z has a long standing and increasing presence in China 1940 1986 1997 2002 2006 Correspondent Beijing Rep
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Slide 111: ANZ is targeting banking markets which are currently under-developed
ANZ is targeting banking markets which are currently under- developed and growing more rapidly than Aust. and NZ Asia's Retail Banking Opportunity a Sle ee + Low penetration of personal/SME banking + Relatively low financial market sophistication + Strong savings + Learning to borrow for personal éw
Slide 112: International Partnership Strategy
International Partnership Strategy = Markets with higher economic growth rates * Markets which are underbanked & immature * Partners with good footprints in their markets * Clear value add opportunity from ANZ How do we deliver the Strategy Current Profile Challenges facing the business What does su
Slide 113: We target partners which have strong footprints in their respective markets
We target partners which have strong footprints in their respective markets Market Ranking & Philippines KANEMEERRIN Largest by loans and deposits ¢ indonesia ERNE as rpectny asta « vieram — ERA argos sone sock ak + Cambodia Finczroyai 4™ largest in market share Ree aR A China Tamer cwweccew 41 larg
Slide 114: International Partnership Strategy
International Partnership Strategy = Markets with higher economic growth rates * Markets interconnecting strongly with Aust/NZ * Markets which are underbanked & immature = Partners with good footprints in their markets * Clear value add opportunity from ANZ How do we deliver the Strategy Current Pro
Slide 115: ANZ's proven track record and strong expertise in consumer banking
ANZ’s proven track record and strong expertise in consumer banking provides numerous value-add opportunities Transition to retail risk Retail and small business awards — ee | eS Institutional Saami, [some tere Siar, Srerurate * Satetarton sVanable + Ralatonstip Bus. loan” Managers Retall 43999 2000
Slide 116: Our partnerships are not passive investments
Our partnerships are not passive investments. ANZ adds value by leveraging our capabilities and working closely with partners Metro Card Corporation ANZ value added + Redefined risk management particularly credit risk ‘+ Enhanced financial control and management * Provided ANZIT technology resources
Slide 117: International Partnership Strategy
International Partnership Strategy How do we deliver the Strategy Current Profile Challenges facing the business What does success look like
Slide 118: ANZ's partnership approach across Asia takes a longer-term perspective
ANZ’s partnership approach across Asia takes a longer-term perspective Partnership approach Perform transform KEM over the tong term Plan EA tocether ‘Project Teams + Capturing growth EB progressively osinass Stateay + Agred sourcing pps ‘ lnly develop srtegy + Senor-level sponsorstip Clear progress
Slide 119: The Business Co-operation Agreement sets out key areas of focus
The Business Co-operation Agreement (BCA) sets out key areas of focus and contributions of each party Product + Permanent =Polky of «Permanent «Product_—=—= + Short-term + Herge + Project role mmenagers "Senior tangible ‘Senior manger “advisor RiB/foreign ”(3+6m) Branch Advisor collateral or Advisor
Slide 120: International Partnership Strategy
International Partnership Strategy How do we deliver the Strategy Current Profile Challenges facing the business What does success look like
Slide 121: 2005 saw strong focus & progress in Vietnam, Cambodia and China
2005 saw strong focus & progress in Vietnam, Cambodia and China, and 13 other opportunities were examined but passed up International Partnerships aa 1973 1990 2004 1993 1986 aint 1999 1993 2003 2004 2005 2005 Faroe Banking Cards. = Cards Banking Banking Banking Investment agi7am ag 93m —Ag14m = AS1
Slide 122: Key performance metrics demonstrated solid growth of Partnerships portfolio
Key performance metrics demonstrated solid growth of Partnerships portfolio Indonesia Cards NPAT (IDR, bn) Metro Card Corp. NPAT (PHP, mm) an : = = 2001 : ANZ Royal (Cambodia) Deposit Growth (US$, mm) ‘Sacom Bank (Vietnam) 0 NPAT (VDN, mm) 22 BANEZ v0tct eon: sx2 revere tegen
Slide 123: China is an important market for ANZ: Tianjin and Shanghai
China is an important market for ANZ. We are concentrating on the key regions of Tianjin and Shanghai China Provincial Deposits + Loans Bower usei7ee ‘Birom uss w 1700 ‘Birom Usss08 wa Below ussoe PROVINCE/crTY (2005e) Tania Shanghai Bang Population (m) 102 167 139 oP (vss) 363 920 530 = Growth (99)
Slide 124: TCCB has strong prospects, driven by renewed focus on retail and small business
TCCB has strong prospects, driven by a renewed focus on retail and small business banking Tianjin City Commercial Bank Strong FUM growth (Ussbn) Profile 17% cAGR 23% CAGR Y 4 + 4 largest city commercial bank (by assets) om + No. 5 market position by deposit in Tianjin ‘+ 180 branches, 90 ATM's withi
Slide 125: International Partnership Strategy
International Partnership Strategy How do we deliver the Strategy Current Profile Challenges facing the business What does success look like
Slide 126: The development of equity partnerships with local banks in Asia
The development of equity partners! Asia focuses on mitigating five key investment risks... s with local banks in Key investment risks 1 Transaction 2 Financial 3 Business 4 Governance 5 Country Specific/Political Y wr wow aS Managing these risks ‘+ Transaction experience ‘+ Modest initial investmen
Slide 127: View on specific business risks
view on specific business risks and management of equity partnerships takes a longer term Key Business risks Management Credit Risk Operations Brand Country Specific/ Market a i a a a Managing these risks ‘+ Existing in-house expertise/mechanism ‘+ ANZ approach to best practice governance ‘+ Partner
Slide 128: Our strategy is to build a portfolio with a reduced risk profile
Our strategy is to build a portfolio of investments that is expected to have a reduced risk profile ANZ Pacific NPAT Volatility (%) * + We recognize that partnership Besa investments have a different risk profile than our existing markets. vera cic ETS] 4 And, our strategy reflects this comy 6 EE |
Slide 129: International Partnership Strategy
International Partnership Strategy How do we deliver the Strategy Current Profile Challenges facing the business What does success look like
Slide 130: The vision for a successful International Partnerships business in 2010
The vision for a successful International Partnerships business in 2010 has a number of compelling attributes... success Y Brand Performance Skills/People Leveraging the ‘opportunities ‘Successful banking partnerships in up to ten countries plus up to elght cards 3V's Partners that are leaders in th
Slide 131: ANZ International partnership strategy creates a new high growth business
ANZ International partnership strategy creates a new high growth business for the future Core Elements Prospective Growth We are entering markets with much 1 | Markets with higher economic higher growth prospects —tlustrative growth rates than Aust/NZ ; Markets interconnecting 4 proud system arent 2
Slide 132: Additional Information
Additional Information ANZ
Slide 133: Much of our strategy delivering is agreed up front
Much of our strategy delivering is agreed up front Typical transaction flow Mutual agreement that the performance of our partner will be better with ANZ than without ‘Agree opportunities for value add and priority ‘Agree the basis of provision for services Document ANZ’s rights and responsibilities,
Slide 134: ANZ International Partnership: Panin Bank
ANZ International Partnership Pani Profile + Established 1971, through the merger of 3 private banks ‘+ A" categorized bank & the only Indonesian bank exempted from the Gov't recapitalization program through Asian Crisis + Twice ranked Top Domestic Bank in Indonesia by Global Finance Journal + 220 b
Slide 135: ANZ International Partnership: ANZ Panin
ANZ International Partnership Profile + Operates within lense of ANZ Panin Bank (85% owned), with ANZ branding + Indonesia's 10" largest, fastest growing credit card business + 59% market share (Chibank largest issuer, with 30% share) + 273,000 accounts, and 293,000 cards on issue + 1,400 Sales Agen
Slide 136: ANZ International Partnership: Metrobank Card Corporation
ANZ International Partnership Metrobank Card Corporation hit Profile + Philippines’ 4 largest, fastest growing credit card business 1+ 11% market share (Citibank largest issuer, with 23% share) + Since 2003 commencement, card numbers CAGR +50%, ‘outstandings +45% + 401,000 accounts and 513,000 cards
Slide 137: ANZ International Partnership: ANZ Royal
ANZ International Partnership Stxzroyal Profile ‘+ USDEOM in deposits, 5,683 debit cards, with 6,136 accounts ‘+ Ranked number 4 of 17 in deposit market share ‘+ S branches, 27 ATMS as at 12/05, a further 2 branches to be ‘opened by end of 2006 |AN2's Investment + Commenced business September 2005 +
Slide 138: ANZ International Partnership: Sacombank
ANZ International Partnership [@ Sacembank Profile or 684 + Largest joint stock bank by branch network (105 branches, 44 Cine Operating Ineo ‘ATMs, 400 POSS) 595 + Strong retail banking focus: 215K customers (retail: 95%) + Strong growth, with 5-year CAGRs: = Loans (net): 439% pa total acts 14580 p0
Slide 139: China is an important target country: Tianjin and Shanghai
China is an important target country for ANZ. We are concentrating on the key provinces of Tianjin and Shanghai ANZ’s potential Chinese partner banks Reh ee 4° largest city commercial bank by assets focussing on growth in reall banking ‘Deposits growing 19% in ine with local GDP/capita growth 2004 l
Slide 140: Tianjin - Centre of the BoHai Bay Economic Rim
Tianjin - Centre of the BoHai Bay Economic Rim = Is China’s 3rd key development region after Shenzhen Shee Cantal Cinna Soneerawant 300m ‘+ Lengthy history as a trading port; significant foreign presence eae cucenmennns + SRE7 =a essere Sees | eee '* Tianjin is the principal distribution & commercia
Slide 141: SRCB operates in a cooperative structure with a strong market niche
SRCB operates in a cooperative structure with a strong market niche in the metropolitan areas of Shanghai ‘Shanghai Rural Commercial Bank Profile ‘+ 3 largest (and last) Shanghai-based bank ‘+ Ranked 1% and 2" by deposit and transactional banking in suburban Shanghai ‘+ A strong footprint in Shangha
Slide 142: China's mid-sized banks are actively partnering with foreign banks
Slide 143: China's big 4 are attracting foreign equity and pursuing listing
Slide 144: International Partnerships
Searchable text section of graphics shown above [G RAPHIC] International Partnerships Australia and New Zealand Banking Group Limited 8 March 2006 Owen Wilson Managing Director, International Partnerships www.anz.com [LOGO] In Asia, ANZ sees three large growth opportunities … Growth Opportunity Asia
Australia and New Zealand Banking Group — Investor Presentation (March 2006) on 6ix